Bitcoin rallies near $86K on improving markets ahead of quarterly options expiry

• Bitcoin climbs toward $86,000 as improving spot demand, derivatives activity and ETF trading point to stronger market participation.

• Futures open interest increased 2.7% to $37.28 billion, while Perpetual CVD surged 203.4% as aggressive buyers gained control.

• Roughly 43% of Bitcoin's options open interest expires this Friday.

Bitcoin (BTC) market conditions improved over the past week as spot buying pressure strengthened and derivatives positioning increased, pushing the top crypto near $86,000.

Spot demand strengthens as Bitcoin momentum recovers

BTC’s price momentum rose from 47.7 to 53.6, representing a 12.5% weekly increase. The recovery pushed momentum toward the middle of its range, suggesting that price action has stabilized after recent weakness, according to a Monday report from Glassnode.

“This recovery from previous lows reflects improving price action and a shift away from immediate selling pressure,” Glassnode wrote.

Spot Cumulative Volume Delta (CVD) moved from a negative $97.9 million to a positive $46 million, representing a 147% improvement over the week. Glassnode argued that the flip indicates aggressive traders began lifting prices, marking a shift from net selling toward positive volume.

Spot volume also increased 13%, rising from $5.48 billion to $6.18 billion. According to Glassnode, the liquidity expansion reflected stronger participation across centralized exchanges and provided additional support for the recent price recovery.

Bitcoin derivatives point to growing bullish positioning

The derivatives market also showed increased activity. Futures open interest climbed 2.7% from $36.2 billion to $37.28 billion, moving slightly above its high statistical band.

Glassnode described the increase as a buildup of speculative leverage, “suggesting elevated participation and heightened market engagement as active contracts expand past the upper statistical boundary.”

Long-side funding payments increased 47%, from $1.6 million to $2.3 million, moving above their high band. The rise suggests traders taking bullish leveraged positions paid more to maintain exposure.

Perpetual CVD provided an even sharper shift, jumping 203.4% from negative $312.5 million to positive $323.1 million. The reversal points to a change in aggressive futures positioning, with buyers taking greater control of perpetual markets.

On the institutional side, US spot Bitcoin ETF net flows stayed negative at $311.4 million. The negative flows indicate continued capital withdrawals and profit-taking through regulated investment products. However, Glassnode indicated that the outflows had not reached levels associated with severe structural capitulation.

ETF trading volume, meanwhile, surged 42%, from $11.4 billion to $16.2 billion. Glassnode stated that the increase showed heightened activity among traditional finance participants responding to broader market developments.

QCP sees Bitcoin approaching a key breakout test

Although Bitcoin spot ETF netflows remained negative, more than $590 million in inflows were recorded across Thursday and Friday, suggesting institutional demand may be improving, according to a QCP report on Monday.

QCP analysts also described crypto as “relatively well bid,” pointing to progress on the American Reserve Modernization Act (ARMA), which advanced through the House Financial Services Committee, as a major cause of the recent rally. If passed, the bill could establish a Strategic Bitcoin Reserve and a framework for federal digital-asset holdings.

The report highlighted the upcoming quarterly options expiry, with roughly 43% of Bitcoin options open interest concentrated in the expiry.

“Around 43% of BTC options open interest is concentrated in this Friday’s quarterly expiry, with the 85k/90k/95k/100k strikes from the large 25SEP26 Call Condor bought in August among the largest OI concentrations,” QCP wrote.

BTC is trading at $85,857, up 6.5% in the past 24 hours at the time of writing.